Conditions and procedures for the establishment of small loan companies

Conditions for applying for establishment

1. There are articles of association that meet the requirements.

2. The promoters or investors shall meet the prescribed conditions.

3. Small loan companies are organized as limited liability companies or joint stock limited companies. A limited liability company shall be established by capital contribution of shareholders with less than 50 persons; A joint stock limited company shall have two to two hundred promoters, more than half of whom shall have domicile in China.

Steps of application establishment

First of all, the district (county) government with pilot intention submits a pilot application to the Municipal Finance Office, clarifies the pilot work plan, and promises to take responsibility for risk prevention and disposal.

Secondly, the district (county) government screens the main sponsors of microfinance companies that meet the relevant conditions and have the intention to declare.

Finally, the main sponsors of the screened microfinance company submit the application materials for the establishment of the microfinance company to the local (county) government, and the district (county) government reports to the Municipal Finance Office for review after completing the pre-examination. With the approval of the Municipal Finance Office, the applicant of a small loan company shall go through the registration formalities with the administrative department for industry and commerce according to law, obtain a business license, and submit relevant information to the local public security organ, the banking regulatory bureau and the PBOC branch within 5 working days.

Xiangjian www.zhlls.com website